The Postal Service uses a series of sourcing processes to capture supply data and knowledge to build a dynamic supplier base, thereby ensuring continuous improvement of the entire supply chain. Strategies are developed by a thorough understanding of the external supplier environment and internal business partner requirements. Purchase/SCM teams apply supply chain management business practices to both strategic sourcing and individual purchases and examine demand trends, the marketplace, and the supplier community to determine how to achieve best value.
Market Surveillance - We continuously assess the marketplace for drivers of market segments, industry trends, impact of new technology, competitive dynamics, supplier characteristics, and suppliers (national or regional) in a market.
When appropriate, the Postal Service:
- Uses the latest in print and electronic resources (industry reports, supply periodicals, databases, etc.) to identify leading-edge suppliers in an industry.
- Uses supplier and industry resources, such as trade associations, to obtain data on the structure of the industry, supplier value-chain analysis, supplier economics, and total cost of ownership (TCO) of items and services.
- Analyzes the sourcing history of a product or service to determine the level of competition, prices, and performance results of existing suppliers to determine if a new supplier would better meet Postal Service needs.
- Attends and hosts industry briefings to identify potential suppliers to meet Postal Service needs.
- Evaluates products that appear to be the same across suppliers (beyond branding) to determine real differences in the product or services and identify suppliers with a competitive advantage.
- Obtains source lists of proven suppliers from trade and industry associations, government agencies, business development groups, and purchasing organizations.
Publicizing Opportunities - When it is determined that doing so will enhance competition, we will announce potential business opportunities in the most appropriate and effective media to identify new sources that will ensure that the Postal Service will obtain the best value.
When appropriate, the Postal Service:
Purchase Card Buys - Purchase card policies support the local business community and encourage economic development of all diverse groups. When operational needs cannot be satisfied through eBuy, the Postal Service online tool for ordering goods and services or other electronic ordering systems, area contracts and ordering agreements, which generally represent our lowest total cost of acquiring equipment, supplies and services, the purchase card serves as the primary means of buying and paying. Cardholders are encouraged to seek out and use SMWOBs when making credit card buys to meet their day-to-day operational needs.
Cardholders must strive to obtain the best value for the Postal Service on each purchase. Best value is obtained by evaluating the price, quality, and other factors necessary to meet the need. Obtaining best value is the objective of every Postal Service supplying activity and the basis for award of Postal Service contracts.
